The HSN note under 8708 covers parts and accessories of the motor vehicles falling under 8701 to 8705 subject to two conditions. The first condition being that the goods in question must be identifiable as being suitable for use solely or principally with the vehicles mentioned from 01 to 87.05. The floor mats for four wheel vehicles [cars] made of poly vinyl chloride [PVC], supplied by the applicant, is suitable for use principally with the motor vehicles for which it is being manufactured, it being a tailor made product. The second condition is that these goods must not be excluded by the provisions of the notes to Section XVII. As is evident from note 2 of section XVII of the HSN, PVC floor mats for four wheel motor vehicles does not fall in the exclusion. We hold that the impugned goods i.e. PVC floor mats for use in cars supplied by the applicant is classifiable under CTH 8708 & applicable rate of GST would be 28% [14% each of CGST and SGST].
